SALES COMPARISON

HOMEWORK

WITH LAND ADJUSTMENT

Due: Tuesday, November $28,2023$

You have been retained to make an appraisal of a $320$ acre farm. The subject farm is $120$ acres irrigated and $200$ acres dryland. The farm has improvements that are valued at $$14,400.$ The irrigation system on the irrigated land is comparable to the irrigation system on the comparable sales. The subject farm is considered to have fair productivity. The farm is located on a highway which provides good access.

In researching the market you have found the following comparable sales:

A$.640$ acre dryland farm with good productivity located on a highway that sold $11/15/23$ for $$523/$acre$.$ This farm has no improvements.

B$.320$ acre farm with fair productivity located on a highway that sold $5/15/23$ for $$859/$acre$.$ This farm has $200$ acres irrigated and $120$ acres dryland. Improvements consist of a small house estimated to have contributed $$24,000$ to the property's value.

C$.320$ acre irrigated farm with good productivity to the subject and located on a highway that sold $6/15/23$ for $$1016/$acre$.$ This farm has no improvements.

D$.640$ acre farm with fair productivity located on a dirt county road that sold $2/15/23$ for $$563/$acre$.$ This farm has $100$ acres irrigated and $540$ acres dryland. Improvements consist of a small house estimated to have contributed $$16,000$ to the property's value.

It has been observed that land values in the county have been increasing by an annual rate of $6\%.$ No difference in value is indicated for size.

Derive the indicated values for irrigated and dryland for each comparable sale and the estimated value of the subject property.